In MRP (Materials Requirements Planning) the Bill of Materials is:
A) A list of required safety stock items.
B) The difference between planned receipts and current stocks.
C) The sum of stock-on-hand and work-in-progress.
D) The required output from a process over time.
E) The product structure showing where common parts are used.

Question

Quizplus · Accepted Answer

The Bill of Materials in MRP is the product structure that shows where common parts are used. It lists the components, ingredients, and raw materials needed to produce a finished product. It is used to calculate the materials needed for production and to track inventory levels.

In MRP (Materials Requirements Planning) the Bill of Materials Is